Problem

Follow these instruction and example, i also include the tip from last time too. Tax research assignment one.

This research assignment will include a memo and a client letter.

Tax Research Assignment1.

The facts for the first assignment are as follow:

In 2009, Mr. Smith purchased a principal residence for $1,500,000. He made a down payment of $300,000 and financed the remainder by borrowing $1,200,000 through a loan secured by the residence. In 2009, Mr. Smith paid interest that accrued on the indebtedness during that year. He had no other debt secured by the residence. May he deduct the entire amount of interest which was paid on the home loan?

1. Recognition of the important facts and issues

2. Correct conclusion

3. Proper citation of relevant sources

4. Format, Spelling & Grammar

5. Clarity of writing.